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Wednesday, November 18, 2015

Following the findings of the 13 man committee set up by the
Office of the National Security Adviser to audit the procurement of arms and
equipment in the Armed Forces and Defence sector from 2007 to date as directed
by President Muhammadu Buhari, the Presidency has ordered the immediate arrest
of former NSA, Sambo Dasuki, and others.

In a statement signed by Femi Adesina, Special Adviser to the President on
Media & Publicity, the presidency said, though the committee which was
inaugurated on 31 August 2015 is yet to complete its work, its interim report
has unearthed several illicit and fraudulent financial transactions.

The statement said that ”as part of the findings, the committee has analyzed
interventions from some organizations that provided funds to the Office of the
National Security Adviser, Defence Headquarters, Army Headquarters Naval
Headquarters and Nigerian Air Force Headquarters, both in local and foreign
currencies.

”So far the total extra budgetary interventions articulated by the committee is
Six Hundred and Forty Three Billion, Eight Hundred and Seventeen Million, Nine
Hundred and Fifty Thousand, Eight Hundred and Eighty Five Hundred Naira and
Eighteen Kobo (N643,817,955,885.18).

”The foreign currency component is to the tune of Two Billion, One Hundred and
Ninety Three Million, Eight Hundred and Fifteen Thousand US Dollars and Eighty
Three Cents ($2,193,815,000.83).

”These amounts exclude grants from the State Governments and funds collected by
the DSS and Police. It was observed that in spite of this huge financial
intervention, very little was expended to support defense procurement.

”The committee also observed that of 513 contracts awarded at
$8,356,525,184.32; N2,189,265,724,404.55 and €54,000.00; Fifty Three (53) were
failed contracts amounting to $2,378,939,066.27 and N13,729,342,329.87
respectively.

”Interestingly, it was noted that the amount of foreign currency spent on
failed contracts was more than double the $1bn loan that the National Assembly
approved for borrowing to fight the insurgency in the North East.

It further divulged that”The committee also discovered that payments to the
tune of Three Billion, Eight Hundred and Fifty Million Naira
(N3,850,000,000.00) were made to a single company by the former NSA without
documented evidence of contractual agreements or fulfilment of tax obligations
to the FGN.

Further findings, according to the presidency, has revealed ”that between March
2012 and March 2015, the erstwhile NSA, Lt Col MS Dasuki (rtd) awarded
fictitious and phantom contracts to the tune of N2,219,188,609.50,
$1,671,742,613.58 and €9,905,477.00. The contracts which were said to be for
the purchase of 4 Alpha Jets, 12 helicopters, bombs and ammunition were not
executed and the equipment were never supplied to the Nigerian Air Force,
neither are they in its inventory.

The statement said that,”Even more disturbing was the discovery that out of
these figures, 2 companies, were awarded contracts to the tune of
N350,000,000.00, $1,661,670,469.71 and €9,905,477.00 alone. This was without
prejudice to the consistent non-performance of the companies in the previous
contracts awarded.

”Additionally, it was discovered that the former NSA directed the Central Bank
of Nigeria to transfer the sum of $132,050,486.97 and €9,905,473.55 to the
accounts of Societe D’equipmente Internationaux in West Africa, United Kingdom
and United States of America for un-ascertained purposes, without any contract
documents to explain the transactions.

”The findings made so far are extremely worrying considering that the
interventions were granted within the same period that our troops fighting the
insurgency in the North East were in desperate need of platforms, military
equipment and ammunition. Had the funds siphoned to these non performing companies
been properly used for the purpose they were meant for, thousands of needless
Nigerian deaths would have been avoided.

”Furthermore, the ridicule Nigeria has faced in the international community
would have been avoided. It is worrisome and disappointing that those entrusted
with the security of this great nation were busy using proxies to siphon the
national treasury, while innocent lives were wasted daily.

”In light of these findings, President Muhammadu Buhari has directed that the
relevant organizations arrest and bring to book, all individuals who have been
found complicit in these illegal and fraudulent acts,” statement said.